TAKE-TWO to Lay Off 500 Staff, Cancel Projects After Promising No Layoffs

Take-Two Interactive, the parent company of Rockstar Games known for the Grand Theft Auto series, has announced an unfortunate downsizing plan that includes letting go of approximately 500 staff members and ceasing development on some projects. The decision comes as part of a larger strategy to streamline operations and enhance profit margins while still focusing on company growth. The layoffs are estimated to affect about 5% of the company's current workforce, resulting in severance and related costs between $25 to $35 million. Additionally, the cancelled projects are projected to cost Take-Two in the range of $120 to $140 million. Amidst this restructuring, the company will also be reducing its physical office space.

How will Take-Two Interactive's restructuring plan affect their upcoming video game releases?

While the exact impact on specific upcoming game releases isn't detailed, the layoff and project cancellations signify a significant scaling back that could lead to delays or the discontinuation of some titles under Take-Two's umbrella, potentially affecting their future game portfolio.

Grand Theft Auto 6 is among Take-Two Interactive's most anticipated releases, with fans eagerly awaiting any news on the game's progress. Rockstar Games has a history of delaying game releases to ensure a polished final product, which in this case may be further impacted by the company's restructuring. The Grand Theft Auto series has been a massive commercial success, with the previous installment, Grand Theft Auto V, surpassing 150 million sales globally, and setting high expectations for the next title in this critically acclaimed open-world action-adventure series.